President Bola Tinubu has urged state governments to ensure that savings from cheaper energy are passed on to Nigerian citizens through lower transportation fares. He made this call while providing an update on the National Affordable CNG Transit Programme, aimed at reducing transportation costs for citizens. The programme seeks to provide cheaper transportation options by leveraging Compressed Natural Gas (CNG) and electric vehicles.
On August 27, Tinubu met with the 36 state governors and agreed on a clear objective: to reduce transportation costs for Nigerians from October 1. An implementation committee for the National Affordable CNG Transit Programme was established under the Nigeria Governors' Forum, chaired by Governor AbdulRahman AbdulRazaq. The committee is working with stakeholders to identify priority transport corridors and determine appropriate interventions.
Tinubu highlighted several examples of states that have successfully implemented the programme, resulting in significant reductions in transportation costs. In Borno, CNG-powered and electric public transport services charge between ₦50 and ₦100, compared to ₦300-₦600 by commercial operators. In Kaduna, 100 CNG-powered buses provided free transportation on major routes, carrying 3.2 million passengers and saving ₦3.5 billion in transport costs in their first year.
Other states, such as Oyo, Adamawa, Enugu, and Plateau, have also seen significant reductions in transportation costs. In Oyo, the Lagos-Ibadan fare was reduced from ₦8,000 to ₦3,200. In Adamawa, fares were cut by 50%, from ₦8,000 to ₦4,000. In Enugu, the Enugu-Nsukka fare was reduced from ₦2,500 to ₦1,500. In Plateau, government-supported buses carry 13,000 commuters daily at ₦200, compared to ₦500 commercially.
Tinubu emphasized that the Federal Government will support states in scaling up the programme. He noted that over the last three years, his administration has invested in building a CNG transportation ecosystem across Nigeria. More than 120,000 vehicles have been converted, and there are over 400 certified conversion centres and 90 CNG refuelling stations across the country.
The President encouraged states to maintain momentum towards the October 1 target and work with transport unions and commercial operators to support conversion and fleet deployment. He stressed that the Federal Government will continue to support the scaling of CNG infrastructure and access, expand conversion capacity, and create an enabling environment for participation.
Tinubu concluded that Nigeria has the gas and is building the infrastructure, but needs to move faster to scale the programme and make a greater impact on transportation costs. He urged state governments to facilitate the necessary infrastructure and ensure that savings from cheaper energy reach Nigerian citizens through lower fares.
Key points
- President Bola Tinubu calls on state governments to pass on energy savings to Nigerians through lower transportation fares.
- The National Affordable CNG Transit Programme aims to reduce transportation costs for citizens by leveraging CNG and electric vehicles.
- Several states have already seen significant reductions in transportation costs through the programme.
